Bharat Dynamics Limited Earnings Summary — Q1 FY2027
Bharat Dynamics Reports Strong Q1 Performance with Net Profit Surging Over 500% YoY
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue grew 19.2% sequentially in Q1 FY2027.
- Revenue of ₹572 Cr is 130.8% higher year-on-year.
- Revenue has compounded at -16.3% annualised over the last 10 quarters.
- Net profit of ₹119 Cr is 547.4% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at -32.6% annualised across the period.
- Operating margin stands at 14.5% in Q1 FY2027.
- Operating margin expanded by 3282 bps year-on-year.
- Over the last two years operating margin has expanded by 4189 bps.
- PBT margin is 28.9%.
- Expense growth of 66.8% remained below revenue growth of 130.8%.
- Operating profit of ₹83 Cr is 283.1% higher year-on-year.
- Operating leverage continues to improve.
- 4 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 68/100 (Healthy) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Volatile | 572 | 480 | 567 | 1,147 | 248 | 1,777 | 832 | 545 | 191 | 854 |
| Expenses | Volatile | 489 | 425 | 541 | 960 | 293 | 1,478 | 705 | 446 | 243 | 538 |
| Operating Profit | Volatile | 83 | 55 | 26 | 188 | -45 | 299 | 127 | 99 | -52 | 316 |
| Operating Margin | Volatile | 14.5% | 11.5% | 4.6% | 16.4% | -18.3% | 16.8% | 15.3% | 18.1% | -27.4% | 37.0% |
| Other Income | Improving | 103 | 119 | 97 | 121 | 87 | 100 | 84 | 86 | 80 | 88 |
| Interest | Improving | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 |
| Depreciation | Stable | 20 | 20 | 19 | 19 | 18 | 20 | 18 | 18 | 16 | 16 |
| Profit Before Tax | Improving | 166 | 154 | 103 | 288 | 23 | 378 | 193 | 166 | 11 | 388 |
| Tax | Improving | 47 | 41 | 30 | 72 | 5 | 105 | 46 | 44 | 4 | 99 |
| Net Profit | Volatile | 119 | 113 | 73 | 216 | 18 | 273 | 147 | 123 | 7 | 289 |
| Net Margin | Volatile | 20.8% | 23.6% | 12.9% | 18.8% | 7.4% | 15.3% | 17.7% | 22.5% | 3.8% | 33.8% |
Key Takeaways
- Revenue from operations grew by 130.8% YoY to ₹57,224.03 lakh, driven by strong sales execution.
- Net Profit witnessed a massive 547% year-on-year increase, rising from ₹1,834.98 lakh to ₹11,879.11 lakh.
- The company reported non-moving inventory for over 5 years worth ₹8,327.07 lakh, though management maintains no provision is needed due to sufficient advances received.
- Operational expenses were impacted by a significant swing in inventory of finished goods and work-in-progress (₹8,950.10 lakh expense vs ₹14,730.02 lakh credit YoY).
- Employee benefit expenses remained relatively stable YoY at ₹13,637.47 lakh compared to ₹13,196.97 lakh in the same period last year.
- Audit Committee reconstitution is currently pending due to the expiration of Independent Directors' tenures, a matter under Government of India purview.
Management Guidance
Management remains focused on the 'Atmanirbhar Bharat' initiative, aiming to increase indigenous content in missile systems to improve long-term margins and reduce dependency on foreign technology.
Sentiment Shift
Improving
The sharp YoY rebound in both revenue and profitability indicates a strong start to the fiscal year compared to the relatively weak Q1 of the previous year.
Outlook
The outlook remains robust backed by an order book exceeding ₹15,000 Cr, though revenue recognition is expected to remain lumpy due to the nature of defense procurement cycles.
From the Annual Report (Key Quotes)
“The figures of quarter ended 31 March 2026 are the balancing figures between the audited figures of the full financial year and the unaudited figures up to 31 December 2025.”
“No provision for redundancy were considered necessary, in view of advances received against these firm orders/LOI being in excess of the assets acquired.”
“Ministry of Defence has exempted the Government companies engaged in defence production from the requirement of Segment Reporting.”
Official Quarterly Documents
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This summary is AI-generated from Bharat Dynamics Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.